Solmax Global Review: Latest Crypto Ponzi Scheme and ‘Equity Token’ Investment Scam?
Solmax Global’s website has not many details about the product or the company. The only things written about the company on the website are the following:
“Solmax is a global direct marketing company. We focus on individual drive and turn that into entreprenuership. Our slogan is serve the world economy by unvelling the successful business leaders. Solmax Offers a global opportunity in referral marketing to those, who like to achieve more and dream more. We are partner with Igniter100 to market its Equity Tokens and earn rewarding commissions. Solmax provides training and sponsors its leaders' weekly, monthly and quarterly training events locally & globally. You are in business for yourself, but not by yourself.”
The fact that the only description about the website has so many spelling and gramatical errors should already be a red flag. There are several other red flags too.
A quick look at the Alexa demographics shows the highest percentage of traffic on their website coming from Pakistan. This can be because of either of two things, the owner of the business can be from Pakistan or they have strong links to the country. Both of them are as bad for their image.
If a Multi-level marketing company doesn’t provide the details of the company’s owner you should stay as far away from the scheme as possible. Solmax is one of them.
Solmax Global affiliates invest in Equity Tokens and promise a return from 600% to 800%. There are 8 levels of investments a person can do; Basic – £100 GBP, Starter – £250 GBP, Executive – £500 GBP, Professional – £1000 GBP, Premium – £2500 GBP, Elite – £5000 GBP, Supreme – £10,000 GBP, and Max – £25,000 GBP.
Another deviuos part of the company is that they do not provide any information for how many equity tokens can be purchased. The only information given is that they only 66.6% of commisions are withdrawable and the rest is put in trading account. The company pays 10% referral commission.
There are seven levels of affiliate ranks; Associate, Executive Associates, Team Leader, Regional Manager, Regional Manager, Regional Vice President and Senior Vice President.
Partnership With Igniter100
Ignitor 100 provides funding and an offsite incubator environment through which promising FinTech startups can find the resources and tools needed to thrive. Solmax says that their Equity Tokens are backed by Ignitor 100.
They say: “Solmax Offers a global opportunity in referral marketing to those, who like to achieve more and dream more. We are partner with Igniter100 to market its Equity Tokens and earn rewarding commissions.”
Just the fact that Equity Tokens are not publically tradable, shows that one of Solmax Global or Igniter100 have an illegal internal exchange. They must have set an internal value for the tokens. These internal values give them the ability to show the kins of ROI they claim to have.
Apart from these, neither Solmax Global or Igniter100 are registered with the FCA. They don’t seem to have retail backing for their schemes. It is highly likly that Solmax Global is running a Ponzi scheme that is on the verge of collapse.